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When Do You Ask for a Referral?
The best time to ask for a referral is right after customer purchases from you. Your customer is still excited about h/his recent purchase and will happily talk about it with friends!
Where Should You Ask for Referrals?
As I mentioned earlier, a second thank you letter would probably be best. Or, you could make a quick phone call in some instances. The first thank you should show your appreciation for purchase and how much you value customer. If your company is online, you can send both first thank you and referral letter via e-mail. This will save money, time, and paper. If customer has already purchased from you, he/she expects to hear from you again.
How Should You Ask for Referral?
Ask for your referral in a way that's irresistible to customer. Take time to calculate how much one customer is worth to you over a period of one year (in other words, how much will that customer spend with you based on nature of product?). Once you've established that customer has benefited from your company and knows someone else who would benefit, you're ready to ask for referral.
Make your offer irresistible and, if possible, ridiculous!!! If you calculated that average customer spends $1,000 per year with your company, then would it be worth it to offer a $100, or maybe even a $200 incentive for them sending a new customer to you?
After all, you probably would have never had that customer if not for referral. That new customer may spend thousands of dollars with your company over next several years. If that happens, it would really be worth investment, wouldn't it? I know what you're thinking, that's too much money! But, before you decide against it, try testing your offer and see if it brings in traffic.
The funny thing is, some people will never ask for referral fee, they'll send you business just because they like you!!! Try it on next customer that purchases your product or service. You can't afford not to get referrals!
Candice Pardue is the Webmaster and Co-Creator on Online Success for Internet Business. Learn more secrets about the power of business referrals through affiliate programs, and why this technique has been one of the most effective sales methods for online businesses... http://www.online-success-tips.com/